Facebook Inc.'s Deals with Whatsapp (Coursework Sample)
Hightlight (bullet points) 2-3 reasons why/why not this deal makes sense for Facebook Inc. Hightlight 2-3 potential challenges you foresee ex-post the deal. What would you recommend Mark and his team to ensure success of the deal.
Total 4-6 Bullet points and short answers.
Facebook Inc.'s Deals with Whatsapp
Highlight (bullet points) 2-3 reasons why/why not this deal makes sense for Facebook Inc
This deal not making sense because
* WhatsApp's operating margins are very small, and it should not cost $19 billion.
Apparently, very few know WhatApp's operating margins. The indications are that the company turned a profit on its rumored $20 million in revenue. Arguably its single biggest expense is the 30% it pays Apple and Google to distribute its app. There are surely storage and bandwidth costs as its customer base grows. And keeping the software fresh requires some engineering talent.
* The other real problem with the deal is the flawed underlying strategy.
Buying WhatsApp does not solve Facebook's real problems, which involve buildings a bigger audience
- Roles And Responsibilities Of The Board Of DirectorsDescription: The board of director plays a major role in directing the operations of an organization and is also tasked with ensuring accountability to the shareholders....4 pages/≈1100 words | 2 Sources | APA | Business & Marketing | Coursework |
- Customer Relationship Management (CRM)Description: CRM systems work on the basis of relationship management as well as continuous communication with the customers to obtain feedback and gain knowledge about the buyers and segment them....2 pages/≈550 words | No Sources | APA | Business & Marketing | Coursework |
- The Grand View Grocers Corporation CaseDescription: It is through the continuous gain of returns on revenue that Grand View Grocery Corporation rose to the level and standards it enjoys around the United States through the supply of natural organic foods....4 pages/≈1100 words | 4 Sources | APA | Business & Marketing | Coursework |